Full employment corresponds to
A) equilibrium in the labor market, with actual GDP being equal to potential GDP.
B) labor demand being greater than labor supply and actual GDP being equal to potential GDP.
C) being at the point where the marginal product of labor equals zero.
D) equilibrium in the labor market, and actual GDP exceeding potential GDP.
Correct Answer:
Verified
Q117: Q118: If the price level rises relative to Q119: In the labor market, an increase in Q120: If the real wage rate is such Q121: An increase in a nation's population results Q123: The real wage rate will fall if Q124: If the population increases, then potential GDP Q125: The U.S. employment-to-population ratio peaked in 2000 Q126: If the labor and capital grow more Q127: An increase in the population and hence
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents